This month, we share some frequently asked questions by foreign nationals looking to purchase a home in the Bay of Banderas.
Can Foreigners own property in Mexico?
Yes, foreigners can own property in Mexico. The only difference is that if the property is located within 50km from the coastline or 100 km from the Mexican border, the title must be held in a trust.
What Is A Bank Trust for property ownership?
A bank trust is used when a foreigner wants to buy a property in Mexico within 50 km from the coastline or 100 km from the Mexican border. It holds the title of the property in trust for the owner. The owner has all the same rights and obligations. The only difference is that the trust must be renewed every 50 years and there is an annual cost to run the trust of approximately US$500.
How much are closing costs in Mexico?
Closing costs are around 5% in the Vallarta area. This will include fees such as escrow, notary (Title), taxes, lawyer and permits.
What Immigration documents do I need to buy a house in Mexico?
You do not need any special immigration documents to buy in Mexico. We do recommend that you get temporary or permanent residency before you sell as it will reduce your capital gains tax. Getting residency in Mexico does not affect your citizenship or residency in other countries.
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